The Cabinet Committee on Government Purchase (CCGP) on Wednesday approved procurement of eight cargoes of liquefied natural gas (LNG) through direct international purchases to meet the country’s urgent gas demand amid the volatile geopolitical situation arising from the Iran and US-Israel conflict.
Of the eight cargoes, four will be purchased from two international suppliers.
The committee recommended procuring two cargoes from Blackcube International Ltd, UK at US$15.50 per MMBtu and another two cargoes from Maxwell International SPC, Oman at JKM plus US$0.54 per MMBtu.
The proposals were placed by the Energy and Mineral Resources Division.
The CCGP also recommended the purchase of two LNG cargoes from Zhenyu Shipping Co. Limited, Hong Kong, through the direct procurement process in 2026 at US$14.95 per MMBtu.
In another decision, the committee recommended a long-term government-to-government (G2G) purchase arrangement with Gunvor USA LLC for a total of 117 LNG cargoes between 2026 and 2038.
Under the proposed arrangement, five cargoes will be purchased in 2026, six in 2027 and three in 2028 at a price of JKM plus US$0.0875 per MMBtu.
In addition, three cargoes will be purchased in 2028 and 10 cargoes annually from 2029 to 2038 at a price formula of 121% HH plus US$5.20 per MMBtu.
The LNG procurement decisions come as Bangladesh faces persistent pressure on domestic gas supplies and growing dependence on imported LNG to meet demand from power plants, industries and other consumers.
The government has been increasing spot and direct LNG purchases alongside long-term arrangements to ensure uninterrupted gas supply amid heightened uncertainty in the international energy market.
